Join   |   Renew   |   Volunteer   |   Print Page   |   Contact Us   |   Sign In
News & Press: CalAdvisor Newsletter

Life Insurance Awareness Month Resolution

Friday, September 2, 2016   (0 Comments)
Posted by: Shari McHugh
Share |

LIFE INSURANCE AWARENESS MONTH RESOLUTION

NAIFA-California and the Association of California Life and Health Insurance Companies (ACLHIC) were successful in getting Assemblyman Tom Daly (D-Anaheim) to introduce House Resolution 64 (HR 64) recognizing September as Life Insurance Awareness Month (LIAM). The measure is aimed at recognizing the importance of life insurance as a financial planning tool for Californians.

LIAM is coordinated by the non-profit group Life Happens, an organization dedicated to helping Americans take personal financial responsibility through the ownership of life insurance and related products, including disability and long-term care insurance.

According to the 2015 Insurance Barometer Study by Life Happens and LIMRA (the world's leading insurance and financial services trade association) more than 40 percent of Americans have no life insurance.

Life Happens seeks to remind people of the important role insurance professionals perform in helping families, businesses and individuals find the insurance products that best fit their needs. That’s why each September Life Happens coordinates Life Insurance Awareness Month. This industry-wide campaign is aimed at educating Americans about the importance of life insurance and helping them get the coverage they need.

“Raising public awareness is an important component of any public education campaign. I applaud the efforts of any trade association, agent, or insurance broker who reminds Californians that life insurance can be an invaluable financial planning tool,” said Assemblyman Daly.

According to LIMRA, as many as 132 million Americans rely on life insurance to protect their financial security. Major reasons given for owning life insurance include covering burial and other final expenses (51 percent), to help replace lost income (34 percent) and to help pay off the mortgage (26 percent).

LEGISLATIVE ISSUES OF INTEREST IN 2016

NAIFA-California’s Sacramento team has continued to be very busy working on a number of issues that are very important to NAIFA-California members. Here is a quick overview of some of the issues:

California Secure Choice Savings Program – SB 1234 (De Leon)

The bill to give the California Secure Choice Board the power to implement the Secure Choice Program is on its way to the Governor’s desk. After taking several amendments, the business community went neutral on the bill and people are expecting the Governor to sign it.

SB 1234 will provide legislative approval for the California Secure Choice Retirement Savings Program (SCRSP) and set forth recommendations and requirements for the design and implementation of the program. The program would provide state administered retirement savings for private sector employees who do not have access to employer-sponsored retirement plans.

As we have reported in the past, thanks to NAIFA-California’s lobbying efforts and diligent grassroots efforts of NAIFA-California’s members, Senator De Leon took an amendment to the bill to direct the Board to collaborate with and evaluate the role of licensed insurance agents and financial advisors in assisting and providing guidance for eligible employers and employees.

If SB 1234 is signed by the Governor, NAIFA-California will be working closely with other interested parties to help ensure that agents and advisors are involved in the development and implementation of SCRSP.

Long Term Care Bills of Interest

The three long-term care bills that have been moving through the process in an attempt to address the highly challenged long term care marketplace are headed to the Governor.

NAIFA-California is supporting AB 2366 by Assemblyman Matt Dababneh (D-Encino), which is designed to help insurers with getting new and innovative long-term care products to the marketplace. The bill would exempt insurers that offer a policy that combines both life and long-term care (LTC) coverage from the requirement to offer the new policy to their existing long-term care policy holders.

Two other bills that are being considered are SB 1091 and SB 1384 by Senator Carol Liu (D-Pasadena).

NAIFA-California is hopeful that all of the bills will ultimately improve the marketplace and we are working with interested parties to help ensure that is the case. There will be continued efforts in the coming months and years to further address the problems in the marketplace and NAIFA-California will be part of the dialogue.

Other Bills of Interest

NAIFA-California is pleased to support, along with CAHU and IIABCal, SB 923 by Senator Ed Hernandez (D-Azusa). The bill would make it clear that in the individual (grandfathered and non-grandfathered) and non-grandfathered small group markets, a health care service plan contract or health insurance policy that is issued, amended or renewed on or after January 1, 2017 may not change any cost sharing requirements during the plan year or policy year. The bill is on the Governor’s desk.

NAIFA-California also supports AB 1899 by Assemblyman Ian Calderon (D-Montebello), which would require the CDI to offer the licensing exam for life agent, life-only agent, and accident and health agent licenses be provided in English and Spanish. The bill is waiting to be taken up on the Assembly floor.

Lastly, NAIFA-California supports AB 2456 by Assemblyman Calderon. The bill would require the Instructional Quality Commission (IQC), during the next revision of the history-social science framework, to consider including information on financial literacy. The bill is on its way to the Governor.


Membership Software Powered by YourMembership  ::  Legal